Macroeconomists have long argued that financial markets were important sources and
propagators of decline during the Great Depression. Turning points during the Depression often …

Economic theories posit that bank liability insurance is designed to serve the public interest
by mitigating systemic risk in the banking system through the reduction of liquidity risk. …

… as well, but doing this topic justice requires a larger analysis than the one we have undertaken
in this paper (see Calomiris and Kahn, 1989; Gorton, 1989; Calomiris and Gorton, 1990). …

… Calomiris is an assistant professor of economics at Northwestern University and a research
associate of the Federal Reserve Bank of Chicago. Gary Gorton is an associate professor of …

… Finally, we are deeply grateful to our wives, Nancy Calomiris and Marsy A. Haber, for their
constant patience, support, and encouragement throughout the four years of our bicoastal …

A large output gap accompanied by stable inflation close to its target calls for further monetary
accommodation, but the zero lower bound on interest rates has robbed the Federal Open …

Studies of pre-Depression banking argue that banking panics resulted from depositor
confusion about the incidence of shocks, and that interbank cooperation avoided unwarranted …

The regulation of bank capital as a means of smoothing the credit cycle is a central element
of forthcoming macro‐prudential regimes internationally. For such regulation to be effective …

Bank safety nets, originally proposed as a means of stabilizing financial systems, have become
an important destabilizing influence. Government protection of bank debts encourages …

… State-level quarterly versions of these tables are available in Calomiris and Mason, 2000. …
State-level quarterly versions of these tables are available in Calomiris and Mason, 2000. …